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Southwest Looks at Setting Up Its Own Airport Lounge Network

The carrier has already won approval for a lounge at Daniel K. Inouye International Airport in Honolulu.

Southwest 737
A Southwest Boeing 737 aircraft. (Photo: AirlineGeeks | William Derrickson)

In yet another break from Southwest’s former no-frills, low-cost business model, the airline’s CEO said Wednesday that a network of airport lounges is in the works.

The Dallas-based carrier is “actively pursuing” the idea of a lounge network and discussing potential airport leases, Bob Jordan told CNBC in an interview. Southwest’s credit card partner, Chase, is also involved in the talks, he added.

“I think lounges would be a huge next benefit for our customers,” Jordan told the business news channel. “And you [would] have a lounge network that allows you to offer that premium credit card that provides lounge access.”

The CEO did not provide a timeline for the potential network’s debut.

Southwest in October won approval to develop and open its first lounge at Daniel K. Inouye International Airport in Honolulu. Company officials have not announced or confirmed the project, and it is not clear when it will open to eligible customers.

Southwest does not currently operate lounges like its major U.S. competitors, reflecting its longstanding low-cost model. Since 2024, however, the airline has moved away from that strategy in an effort to open up new revenue streams and capture a larger share of luxury travelers, who are increasingly driving growth for carriers across the world.

Earlier this year, Southwest ended its famous “two bags fly free” policy and started charging for checked bags. It will transition to assigned seating on its flights in January 2026.

In a separate interview with CNBC’s “Squawk on the Street,” Jordan said Southwest is retaining its advantages – including strong brand loyalty, low operating costs, and standout hospitality – while undergoing what host Carl Quintanilla termed “premiumization.”

Zach Vasile

Zach Vasile is a writer and editor covering news in all aspects of commercial aviation. He has reported for and contributed to the Manchester Journal Inquirer, the Hartford Business Journal, the Charlotte Observer, and the Washington Examiner, with his area of focus being the intersection of business and government policy.

Alaska Weighs Hawaiian 717 Replacements

The carrier is looking at the future of inter-island service.

A Hawaiian Boeing 717
A Hawaiian Boeing 717 (Photo: Shutterstock | Wangkun Jia)

Alaska Air Group is mulling the future of Hawaiian’s fleet of 19 Boeing 717 aircraft, which exclusively operate inter-island flights in Hawaii. Hawaiian has flown the type for over two decades, with the fleet’s average age nearing 24 years old.

Hawaiian – and now Alaska, following last year’s acquisition – maintain the second-largest 717 fleet in the world, just behind Delta, according to fleet data from Cirium. 

At the time of writing, 95 of the aircraft remain in service worldwide. 

During a Goldman Sachs investors conference last week, Alaska Air Group’s financial chief Shane Tackett said the aging aircraft “need to be replaced,” but noted that no decision has been made yet. 

“And so there’s no decisions made, but it’s not — like I’m not going to fool you guys, but like the 717s need to be replaced,” he shared. 

Tackett added that the aircraft will “likely” be replaced with 737s “of some sort.” 

Alaska 737 aircraft
An Alaska Air 737 aircraft (Photo: Shutterstock | oasisamuel)

“And so we have an amazing partnership with Boeing, obviously, and we have a very, very good order book for MAX aircraft that takes us years into the future,” he said. 

Different Aircraft

But Tackett also hinted at a different aircraft type to backfill the 717s, which he called “purpose-built.” 

“… Although we will look at, is there a different sort of purpose-built short-stage length, high-cycle aircraft that could live in Hawaii better than the 737,” he continued. Hawaiian also flies the Airbus A321neo on some inter-island flights.

Ryan Ewing

Ryan founded AirlineGeeks.com back in February 2013 and has amassed considerable experience in the aviation sector. His work has been featured in several publications and news outlets, including CNN, WJLA, CNET, and Business Insider. During his time in the industry, he's worked in roles pertaining to airport/airline operations while holding a B.S. in Air Transportation Management from Arizona State University along with an MBA. Ryan has experience in several facets of the industry from behind the yoke of a Cessna 172 to interviewing airline industry executives. Ryan works for AirlineGeeks' owner FLYING Media, spearheading coverage in the commercial aviation space.

New Pan Am Says It Plans To Fly A320neos

Startup carrier signals future fleet intentions as its FAA certification effort continues.

An Airbus A320neo
An Airbus A320neo. (Photo: Airbus)

A revived Pan American World Airways — branded as Pan Am — says it intends to operate Airbus A320neo aircraft as part of its planned fleet, according to a recent update from company co-founder Ed Wegel.

In a LinkedIn post, Wegel noted that while the historic Pan Am was widely associated with Boeing aircraft, the airline also operated Airbus models, including the A300 and A310. The carrier also had orders for A320 aircraft before going out of business in 1991.

He said the new carrier plans to fly A320neo aircraft “at some point in the future,” contingent on the completion of its regulatory approvals and on broader availability of the type.

Pan Am A320neo rendering
Pan Am A320neo rendering (Photo: Ed Wegel/Linkedin)

The disclosure offers the clearest indication to date of the airline’s narrowbody fleet plans. Pan Am, led by Pan American Global Holdings in partnership with AVi8 Air Capital, began the FAA certification process earlier this year. The company aims to launch operations under Part 121 once it completes the agency’s multi-phase approval program.

Pan Am has said it intends to base operations in Miami and initially operate a fleet of Airbus aircraft, though it has not released a planned in-service date or detailed route map. The airline has also not specified how many A320neo aircraft it expects to acquire or lease as part of its startup plans.

Ryan Ewing

Ryan founded AirlineGeeks.com back in February 2013 and has amassed considerable experience in the aviation sector. His work has been featured in several publications and news outlets, including CNN, WJLA, CNET, and Business Insider. During his time in the industry, he's worked in roles pertaining to airport/airline operations while holding a B.S. in Air Transportation Management from Arizona State University along with an MBA. Ryan has experience in several facets of the industry from behind the yoke of a Cessna 172 to interviewing airline industry executives. Ryan works for AirlineGeeks' owner FLYING Media, spearheading coverage in the commercial aviation space.

United Resumes ‘Fantasy Flights’ For Holidays

The special trips, all staffed by United volunteers, run through Dec. 19.

United Fantasy Flight
United Fantasy Flight (Photo: United)

United this month is once again offering special flights to the “North Pole” for deserving children.

“Fantasy Flights” bring children and their families to United’s seasonal hub at the North Pole – in fact a local gate or hangar decked out to resemble Santa Claus’ famous workshop and home. Airline employees volunteer their time to operate and staff the flights and the North Pole locations, dressing them up with lights, ribbons, Christmas trees, and holiday characters.

The special trips are already underway, having started on Dec. 2, and will continue through Dec. 19.

United coordinates with local nonprofit organizations, hospitals, and the Make-A-Wish Foundation to offer seats to children.

This year, United is operating Fantasy Flights from 12 airports in the U.S. – including Los Angeles, Chicago O’Hare, San Francisco, Denver, and Newark, New Jersey – as well as Guam, Tokyo Narita, and London Heathrow.

Since 2022, the carrier has staged over 50 Fantasy Flights and transported over 6,000 children.

Zach Vasile

Zach Vasile is a writer and editor covering news in all aspects of commercial aviation. He has reported for and contributed to the Manchester Journal Inquirer, the Hartford Business Journal, the Charlotte Observer, and the Washington Examiner, with his area of focus being the intersection of business and government policy.

DOT: Passengers Disrupted by A320 Repairs Not Entitled to Compensation

The issue grounded thousands of aircraft just after Thanksgiving.

JetBlue A320
A JetBlue A320. (Photo: Shutterstock | CarterAerial)

Passengers whose Thanksgiving travel plans were disrupted by an urgent software fix for Airbus’ A320 are not entitled to compensation from airlines, the U.S. Department of Transportation ruled this week.

According to Reuters, transportation officials decided that flight delays and cancellations stemming from the repairs do not meet the conditions that would require airlines to compensate travelers with hotel rooms, meals, or other benefits.

The department said it “will not treat cancellations or lengthy delays resulting from unscheduled maintenance in response to an airworthiness directive that cannot be deferred or must be addressed before a flight to be due to circumstances within airline control.”

On Nov. 28, Airbus issued a mandatory safety notice for A320-family operators warning that “intense solar radiation” could corrupt data used by flight control systems. Airlines were forced to delay or cancel hundreds of flights while the required repairs were made.

Most carriers completed the update by Dec. 1.

U.S. airlines mainly offer compensation at their own discretion. The Trump administration in November formally abandoned a proposed Biden-era rule that would have required carriers to pay customers a set amount for delays of at least three hours. The regulation was never enacted.

Zach Vasile

Zach Vasile is a writer and editor covering news in all aspects of commercial aviation. He has reported for and contributed to the Manchester Journal Inquirer, the Hartford Business Journal, the Charlotte Observer, and the Washington Examiner, with his area of focus being the intersection of business and government policy.

Union: ‘There Was Never a Pilot Shortage’

ALPA leader argues low wages and pandemic disruptions — not a lack of interest — reduced pilot supply.

An American A319 in Phoenix
An American A319 in Phoenix (Photo: AirlineGeeks | William Derrickson)

Air Line Pilots Association (ALPA) first vice president, Captain Wendy Morse, said the airline industry did not experience a true pilot shortage in recent years, instead attributing hiring challenges to what she called a prolonged “pipeline problem” caused by low regional airline wages, high training costs, and repeated shocks to the aviation labor market.

“There is no pilot shortage. There was never a pilot shortage,” Morse said during Skift’s Aviation Forum last week. She argued that the decline in new aviators stemmed from industry conditions that made flying a less viable career path. 

“Salaries [were] so low that nobody wanted to be a pilot anymore,” she said, adding that the post-9/11 downturn and the bankruptcy era at major U.S. carriers discouraged a generation of prospective pilots.

Morse offered an example from her own family, recalling when one of her sons considered entering the profession. After weighing a high university tuition bill against starting regional airline pay of around $20,000 per year at the time, he ultimately chose a different path. “If you’d like to be a pilot for the love of flying, go be a pilot,” she told him, but added that the career outlook then was vastly different from what new aviators encounter today.

She said similar disruptions appeared during the COVID-19 pandemic when flight training slowed, and new-hire pipelines tightened. “Everything kinda shut down… the pipeline wasn’t there,” she said.

Supply-and-Demand Gap

Industry forecasts continue to show a measurable supply-and-demand gap, even as conditions improve. Oliver Wyman’s latest North American outlook projects a shortage of roughly 13,300 pilots by 2032. The U.S. Bureau of Labor Statistics estimates about 18,200 annual openings for commercial pilots through the next decade, largely driven by retirements and long-term demand.

Morse’s comments align with earlier statements from ALPA leadership, who have repeatedly argued that market conditions — not an absolute lack of pilots — shaped hiring trends. In an April interview with AirlineGeeks, ALPA’s president said claims of a nationwide pilot shortage were exaggerated and pointed instead to compensation and training barriers

ALPA President Jason Ambrosi
ALPA President Jason Ambrosi (Photo: ALPA)

Some airline leaders have voiced similar assessments. Sun Country CEO Jude Bricker said in May that the pilot shortage was effectively over for his carrier, noting that training throughput and hiring had stabilized and that the airline was no longer constrained by cockpit staffing

Morse said the present-day environment looks markedly different from the conditions that shaped earlier downturns. “As long as you keep an airline industry that people want to work in — and we have that right now,” she continued.

She added that financial performance at major carriers has strengthened in recent years, calling the shift “a nice turnaround” compared with earlier portions of her four-decade career at United.

ALPA represents around 80,000 pilots in North America, including those at United and Delta.

Ryan Ewing

Ryan founded AirlineGeeks.com back in February 2013 and has amassed considerable experience in the aviation sector. His work has been featured in several publications and news outlets, including CNN, WJLA, CNET, and Business Insider. During his time in the industry, he's worked in roles pertaining to airport/airline operations while holding a B.S. in Air Transportation Management from Arizona State University along with an MBA. Ryan has experience in several facets of the industry from behind the yoke of a Cessna 172 to interviewing airline industry executives. Ryan works for AirlineGeeks' owner FLYING Media, spearheading coverage in the commercial aviation space.

Alaska Starts Ticket Sales For London Route

Service will start in May 2026.

Alaska 787-9 livery
Alaska's new 787-9 livery. (Photo: Alaska Airlines)

Tickets are now on sale for Alaska Airlines’ upcoming long-haul route linking Seattle and London.

The new connection, first announced earlier this year, will launch May 21, 2026, the carrier said Tuesday. Alaska plans to operate the route daily with a Boeing 787-9 aircraft.

Both the flight from Seattle to London and the return flight from London to Seattle will depart in the evening, allowing travelers to spend their whole day in either city before boarding their flight. Alaska said the timing is a potential benefit for business travelers in particular.

The carrier will operate out of London Heathrow’s Terminal 3, facilitating connections to Europe via other oneworld members.

By mid-2026, Alaska will offer five intercontinental destinations from Seattle. The airline will start seasonal routes to Rome and Reykjavik, Iceland, in April and May, respectively. Flights to Tokyo and Seoul are already operating.

Zach Vasile

Zach Vasile is a writer and editor covering news in all aspects of commercial aviation. He has reported for and contributed to the Manchester Journal Inquirer, the Hartford Business Journal, the Charlotte Observer, and the Washington Examiner, with his area of focus being the intersection of business and government policy.

American Plans New Route, Cuts Two

The carrier is shaking up its East Coast network.

American Eagle jet
An American Eagle Embraer jet. (Photo: Ryan Ewing)

American is planning to launch a new 91-mile route next year, while also suspending two more. 

According to schedule data from aviation analytics company Cirium, the airline will start connecting Boston and Nantucket, Massachusetts. Flights are slated to begin on June 18, operating daily on a Republic Airways Embraer E175.

Both JetBlue and Cape Air currently serve this intra-state market. 

Route Cuts

American will also axe two routes in 2026. Twice-daily service between New York-JFK and Toronto is scheduled to end on May 20. 

The carrier has linked the two airports for over two decades.

In addition, American’s seasonal service between Philadelphia and Hilton Head, South Carolina, will not return through next summer. The route will operate four times in June 2026, but won’t continue in July or August. 

An airline spokesperson could not be immediately reached for comment on the network changes.

Ryan Ewing

Ryan founded AirlineGeeks.com back in February 2013 and has amassed considerable experience in the aviation sector. His work has been featured in several publications and news outlets, including CNN, WJLA, CNET, and Business Insider. During his time in the industry, he's worked in roles pertaining to airport/airline operations while holding a B.S. in Air Transportation Management from Arizona State University along with an MBA. Ryan has experience in several facets of the industry from behind the yoke of a Cessna 172 to interviewing airline industry executives. Ryan works for AirlineGeeks' owner FLYING Media, spearheading coverage in the commercial aviation space.

DOT Cancels Southwest’s Final Payment For 2022 Holiday Meltdown

The carrier received an $11 million credit for improving its operations.

Southwest 737
A Southwest 737. (Photo: AirlineGeeks | William Derrickson)

Southwest will not have to pay the final $11 million installment of a penalty it received for wide-scale operational disruptions during the holiday travel season three years ago.

In a recent order, the U.S. Department of Transportation said it is providing Southwest with an $11 million credit in lieu of the payment “for significantly improving its on-time performance and completion factor” through a $112.4 million investment in its network operations control.

“DOT believes that this approach is in the public interest as it incentivizes airlines to invest in improving their operations and resiliency, which benefits consumers directly,” the order states. “This credit structure allows for the benefits of the airline’s investment to be realized by the public, rather than resulting in a government monetary penalty.”

Southwest canceled thousands of scheduled flights in December 2022 due to a massive technology failure. The outage coincided with a major winter storm that impacted much of the Midwest and East Coast and further hampered holiday travel. The news media, and later the DOT, dubbed the event a “meltdown.”

The federal government fined Southwest $140 million over the fiasco, with $35 million due to the U.S. Department of the Treasury. The carrier paid $12 million toward the penalty in February 2024 and another $12 million in January of this year, leaving $11 million outstanding until the DOT’s recent decision.

Transportation officials said Southwest has invested over $1 billion in its operations to improve performance and reliability since the winter of 2022.

Zach Vasile

Zach Vasile is a writer and editor covering news in all aspects of commercial aviation. He has reported for and contributed to the Manchester Journal Inquirer, the Hartford Business Journal, the Charlotte Observer, and the Washington Examiner, with his area of focus being the intersection of business and government policy.

IATA: Global Airline Industry Set For Record Profits

The trade group said carriers are showing resilience despite headwinds from supply chain problems and sluggish trade.

United and JetBlue aircraft
United and JetBlue aircraft. (Photo: Shutterstock | Markus Mainka)

The global airline industry will post record profits next year despite delays in new aircraft deliveries and other headwinds, the International Air Transport Association forecast this week.

The trade group said the airline sector will generate a total net profit of $41 billion in 2026, up from $39.5 billion in 2025. Operating profits will climb from $67 billion to $72.8 billion, the IATA predicted, while total industry revenues will reach just over $1 trillion, up 4.5% over the current year.

The industry’s net profit margin is expected to remain stable at 3.9%. Net profit per passenger transported is expected to be $7.90, unchanged from 2025 but below a high of $8.50 in 2023.

In a statement, IATA General Director Willie Walsh said the forecast is “welcome news” considering the various challenges the industry faces, including “bottlenecks in the aerospace supply chain, geopolitical conflict, sluggish global trade, and growing regulatory burdens.”

“Airlines have successfully built shock-absorbing resilience into their businesses that is delivering stable profitability,” Walsh said.

Some factors weighing in favor of the airlines are expected growth in revenue passenger kilometers, stable GDP, easing inflation, and strong results from cargo operations.

Walsh singled out cargo’s performance as “particularly impressive” given the economic turbulence of 2025.

“As trade flows adapt to a protectionist U.S. tariff regime, air cargo has been the hero of global trade buoyed in part by robust e-commerce and semiconductor shipments to support the boom in AI investments,” he said. “Notably, air cargo enabled front-loading to deliver products ahead of tariff deadlines, and it flexibly accommodated demand surges as tariffed goods normally destined for the U.S. found new markets. The critical role of air cargo is front and center as the global economy adjusts to new realities.”

Still, the IATA warned that most of the factors dragging down growth in the airline industry will not meaningfully improve in 2026. The global backlog in aircraft will continue to grow, infrastructure constraints will likely persist, and regulatory costs, particularly in Europe, will remain high, the trade group said.

Carriers are also expected to run up against rising aircraft maintenance costs, meagre gains in fuel efficiency, and stagnating employment productivity.

Zach Vasile

Zach Vasile is a writer and editor covering news in all aspects of commercial aviation. He has reported for and contributed to the Manchester Journal Inquirer, the Hartford Business Journal, the Charlotte Observer, and the Washington Examiner, with his area of focus being the intersection of business and government policy.
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